Issuer will call bond only if bond price is above 100 generally. Then they reissue at 100 mah. I think what u mean is that the perp bonds have variable reset coupons. For eg, santande gbp, mapletree logistics perp have coupon resets every 5 years. The yield calculation u are using works only if they call, which is not likely if interest rates go up. Rate up, bond price fall below 100, no call. So your duration is much higher. People who hold >5 year bonds and perps this year all Kena hit bad in June. As your banker. Most bond portfolios are down up to 5% or flat.

I would avoid bonds now not because I think they will fall lower but because I am fully allocated and I think better opportunity in equities. I had 40% bonds last year in a mainly 6 year bond ladder, now it is 35% and I will let it fall to 33.5%. The amt which matures going into Asian equity and alternatives. I am slightly contrarian, so I am ok with entering commodities and Asian equities next few mths when everyone thinks otherwise. Now people are all entering us and Japan. Former I am already in. Latter don't mind adding slightly.

As for cash, I have cash position that is 20% of asset. Reason is for flexibility to buy big if I need to and for new business possibility. I leverage up 35%, so I still have 100% invested. The other 15% is primary home. I treat the 0.8% loan interest as fee for flexibility. Not sure if overpaying... But if interest rates rise, I will buy longer dated bonds and maybe reduce leverage if it makes sense.

Just sharing and I hope it helps u. Be very careful and don't waste your hard earned money. Bankers do have some good advice but depends how your relationship as some poster pointed out. And also your banker experience. My experience is that best is learn from own experiments and from peers or betters who share.